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Take on an agency worker as a permanent member of staff

Key points

If an employer wishes to take on an agency worker as a permanent member of staff it may have to pay a "transfer fee" (sometimes known as a "temp to perm" fee) to the agency supplying the worker.

The relevant legislation contains provisions with the effect of giving employers the right to continue hiring the worker through the agency for an agreed period of time, as an alternative to paying the fee.

There are also statutory rules that allow employers to avoid the fee by waiting a specified period of time following the end of the assignment before hiring the worker as a permanent member of staff.

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